Grain marketing company
AWB
’s former CFO has admitted to breaching his duties under the Corporations Act in an ASIC civil action against former executives of AWB for payments made to the Iraqi government from 2001 to 2004.

In a “statement of agreed contravention" with ASIC, Paul Ingleby admitted in the Supreme Court of Victoria to contravening section 180 (1) of the Corporations Act between December 2001 and September 2004.

The breaches of his duties that he admitted included that he knew of payments being made to a trucking company, Alia, part-owned by the Iraqi government.

These ultimately were being paid to the Iraqi government even though AWB’s trade with Iraq was under the UN Oil for Food Program, which prohibited payments directly to the Iraqi government.

The court has also heard a Statement of Agreed Contraventions from AWB’s former managing director, Andrew Lindberg.

The court has reserved its judgement in relation to Ingleby and Lindberg.

ASIC launched civil actions against six former officers and directors of AWB in December 2007 after the government’s Inquiry into certain Australian companies in relation to the UN Oil-For-Food Programme.

Proceedings are ongoing against four other former officers at AWB: Trevor Flugge, the former chairman of AWB; Peter Geary, the former group general manager trading of AWB; and two former general managers of international sales and marketing for AWB, Charles Stott and Michael Long.